MEMPHIS, Tenn. — Two former officials in the troubled Tipton County town of Mason, Tennessee have been arrested and charged with the theft of more than $120,000 of wages and benefits after an investigation by the Tennessee Comptroller’s Office.

Former town finance officer Reva Marshall and human resources manager Michele Scott were booked into the Shelby County Jail on Monday and released on $5,000 bonds, jail records show. Both are charged in Shelby County with theft of property $10,000-$60,000 and official misconduct.

Wednesday, the state comptroller’s office announced the findings of an investigation that went back seven years into the town’s finances. Grand juries in both Tipton County and Shelby County handed down indictments against the women this month, based on the state’s findings in that investigation.

According to the comptroller, Marshall received at least $80,421.89 in improper wages, benefits, and reimbursements from the town, the state said.

“Investigators found that Marshall submitted timesheets reflecting approximately 2,908 hours of actual time worked; however, she received compensation for 7,000 hours of work. Marshall approved her own timesheets and processed payroll for all town employees until she left her employment with the town in July 2022,” the report stated.

The state said Scott improperly received $40,622.68 in wages and benefits from the town. “Scott’s timesheets showed she worked approximately 5,392 hours; however, she received compensation for 7,920 hours.”

The women, who also worked full-time at Memphis Shelby County Schools, “double-dipped” by claiming they worked the same hours at both jobs simultaneously, the state said.

“Marshall claimed to be working for both entities simultaneously for approximately 812 hours resulting in $22,642.14 in improper wages and benefits from MSCSS,” the state wrote. “Scott claimed to work for both entities simultaneously for 264 hours resulting in $10,242.36 in improper wages and benefits from MSCSS.”

Additionally, the comptroller’s office said that Mason’s former mayor was also investigated. The state said she misappropriated at least $8,774.43 from the town for her personal gain, including a vacation to Liberia, before she lost a re-election bid in 2018.

It was not clear whether the former mayor is facing charges.

State investigators also questioned some $57,000 in credit card transactions and reimbursements by town employees.

“The investigative report includes a list of eight significant deficiencies in the town’s government operations that not only led to misappropriation, but have also contributed to the town’s long history of audit findings and financial trouble,” Comptroller Jason Mumpower said. “In particular, town officials have failed to properly oversee payroll, credit card transactions, cell phones, vehicle maintenance, travel, and inventory. The town has also allowed various hired consultants to have too much control over the town’s operations and finances.”

Mason, a majority-Black town of about 1,200 in Tipton County, faced a state takeover by the comptroller’s office last year. The comptroller said Mason officials had mismanaged its money for 20 years, and the problem had grown worse in the past four or five years.

Mason officials went to court to try to stop that takeover, claiming racism was a factor in the state’s allegations.

The town reached an agreement with the state last year.